Oil rises on USA crude stock draw, supply concerns

Oil rises on USA crude stock draw, supply concerns

Futures prices for West Texas Intermediate crude, the USA benchmark, dipped slightly following Trump's tweet before recovering and then retreating once again to trade roughly flat.

Gasoline consumption usually picks up in the summer and wanes in autumn, but demand remained strong in the latest week, estimated at 9.5 million barrels per day.

Oil prices dipped on Friday after falling in the previous session as US President Donald Trump urged OPEC to lower crude prices ahead of its meeting in Algeria this weekend.

Crude oil prices have been rising over the past year as a result of the Organization of the Petroleum Exporting Countries' strategy to tighten supply.

"We're stuck in a range here", said Tariq Zahir, managing member at Tyche Capital Advisors in NY, with prices supported by the USA sanctions on Iranian supplies and pressured by the potential that Chinese demand could wane. A Bloomberg survey of analysts forecasts a 2.5-million-barrel decline in nationwide inventories.

"The current market betting line suggests price levels rather than global supply levels will be the key determinant on turning on the oil taps", Innes said.

Speaking of oil, recently oil prices were increased by 1.6% in the USA, as the US stocks fell by 5.3 Million barrels.

A commission of the cartel hopes to impose another supply agreement, influenced by US president, Donald Trump. Exports averaged 2.37 million barrels a day last week and have a cumulative daily average for the year of 1.81 million barrels a day, a 137% increase over the year-ago export total. "But U.S. pressure will come into play and it's more likely that OPEC producers and allies will decide on a production boost later this week".

The OPEC slam sent oil prices down slightly, however prices have enjoyed a robust rally this year as production wanes.

Tanker tracking and industry data show Iranian exports of crude have already begun to decline well before the imposition of new USA sanctions on Tehran.

The weekly oil inventory cycle is complete and WTI crude is on the bull. Prices for November WTI futures are up more than $0.75 on the EIA reporting a draw on supply.

Refinery crude runs fell by 442,000 barrels per day, EIA data showed.

'It's also political because the Saudis don't want to pump too much oil then the Iranians complain to OPEC that it (Saudi Arabia) is taking (Iran's) market share.



Related Posts

Minnesota Timberwolves Rejecting Jimmy Butler Trade Offers
This is a blow for not only the Clippers, but for several teams who are trying to bring Butler into the fold prior to the season's start.

Israel presents downed jet findings to Russian delegation
Hezbollah has provided vital support to Syria's military in the seven-year war, helping it regain swathes of the country. The IAF stated that Assad's Syrian military regime is fully responsible for the downing of the Russian plane on Tuesday.

Goodyear to come as original equipment tire to Audi’s first electric SUV
The tires fitted on the Audi e-tron use Goodyear's SoundComfort Technology, which helps to reduce the interior vehicle noise. The 2019 e-tron will come in two standard trims as well as a special First Edition model limited to 999 vehicles.

Christine Ford Accepts Senate Judiciary Committee’s Invitation to Testify
Kavanaugh has categorically denied the allegations and said he stands ready to testify whenever called. The lawyers say they are "hopeful that we can reach agreement on details" of Ford's appearance.

PM has betrayed India: Rahul on Hollande's Rafale deal revelation
The Centre has repeatedly stated it was Dassault that chose its India partner for offsets and that the government had no say in the deal.

'Terrorists' kill at least 29 at Iran military parade
Earlier reports on Saturday described the assailants as Takfiri , a term previously used to describe Islamic State. The dead included 12 members of the country's elite Revolutionary Guards, while more than 60 people were wounded.

Researchers Dosed Octopuses Ecstasy, and Here's What Happened Next
Any given octopus is unlikely to seek out companionship from other octopuses, only coming together when it is time to mate. A new study on how an octopus given Ecstasy acts offers clues about how the drug can be used in broader settings.

Jurgen Klopp defends Mohamed Salah after poor run of form
Mohamed Salah's slow start to the season is not causing Liverpool manager Jurgen Klopp to lose any sleep. We want him to score as often as possible. "Nobody remembers that.

Jordan Spieth, PGA Tour resolve policy violation on number of events played
The first playoff event at the Northern Trust will feature 125 players with a cut down to the top 70 for the BMW Championship. The second-place player will be 8-under, third 7-under, fourth 6-under and fifth 5-under.

Tesco launches discount chain to rival Aldi and Lidl
The store was opened by Dave Lewis , Tesco's chief executive, with up to 15 more to be opened next year. Jack's is named after Jack Cohen, who in 1919 founded the business that became Tesco.

© 2015 ExpressNewsline. All Rights reserved.